Moody's downgrades Mobilink

Moody's Investors Service said it downgraded Pakistan Mobilink Communications Ltd.'s B1 local currency corporate family rating to B2 and Mobilink's B3 senior unsecured bond rating to Caa1.

The outlook is negative.

"The rating action has been prompted by the downgrade of Mobilink's parent, Orascom Telecom Holdings...due, in part, to concerns over its weak liquidity profile, and the evolving business risk within the group," said Laura Acres, a Moody's vice president, in a news release.

She added that "Concerns over Orascom's liquidity and its ability to provide financial support have negative implications on Mobilink given the recent history of reliance on equity injections from Orascom to ensure covenant compliance under Mobilink's loan agreements."

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.